Bitcoin prices took a turn for the green color yesterday when bitcoin passed the $4K mark once again. With bitcoin arriving at 4,300 dollars, the market also took a breather. Most of the cryptocurrencies also went up. The reason for this rebound could be related to the end of the so-called hash wars relate to the Bitcoin Cash Fork.
Bitcoin Prices Recover
Good news for the hodlers! Bitcoin prices gained up to 15% today and have got up to $4.3K and still growing strong. As usual, this growth in bitcoin prices has also spurred a recovery in most cryptocurrency prices too. Ethereum, Stellar and EOS got a significant recovery also. But the star of the day has been Tron, gaining more than 25% in a good rally for the battered cryptocurrency.
However, the cause of this hike is not really clear for analysts. But according to some, the pressure over bitcoin could be down due to the so-called hash wars. The Bitcoin Cash Hard Fork triggered a selloff that caused panic in the market. People wanted to dump their BCH to avoid the uncertainty that recently finished with the end of the war.
However, bitcoin is still in the red zone this year. It has lost more than 75% since last December when prices go to really high $20K levels. Analysts were expecting a price hike this December too.
Causes For This Rebound
Different outlets have different opinions about what has caused this deep rebound in prices. Bloomberg declared that this could be the result of some investors pulling out ahead of time and feeling remorse. They stated that:
“Today’s rise is mostly a reaction to the precipitous drops last week and people thinking that may have been an overreaction,”
However other analysts differ. Bryan Kelly, the known cryptocurrency investor, has another view on the subject. He thinks that the price has recovered due to the end of the bitcoin cash wars. He stated that:
“You’re seeing the bitcoin cash saga play itself out. People were funding a lot of that by selling bitcoin, so one element of sellers has left the market.”
he refers to the bitcoin mining that both sides appear to have rented during the conflict. with the hash war over, this insanely huge amount of bitcoin has been removed off the market. However, the situation is still uncertain, and no one knows how the price issue will play out until the end of 2018.